Before and after the implementation of the Joint Comprehensive Plan of Action (JCPOA), expectations had raised of a boost in Iran’s banking activities at various dimensions and areas including reinvigoration of ties with foreign counterparts, presence of foreign banks in Iran, establishment of joint banks and offices, expansion of new and modern banking technologies as well as extensive use of SWIFT. 

Only after a while, however, hopes were lost due to numerous communication problems as expectations were lowered to reopening of blocked branches of Iranian banks in some countries, holding multilateral banking meetings as well as opening of SWIFT without using the dollar.

Meanwhile, some foreign media have reported that a handful of foreign banks as well as a number of international companies active in electronic sectors and credit cards have conducted consultations with Iran seeking to boost ties with the country. The same sources maintain that these institutions are still reviewing the terms and atmosphere and no practical steps have been taken yet.

Some international electronic payment companies have begun consultations with the Central Bank of Iran (CBI) and the CBI has shown them the green light in return; nevertheless, due to special international political conditions, some analysts have called for caution in launching relations with foreign parties in order to prevent leaking of the country’s banking information.

Some international companies active in the sector like MasterCard, Visa card, Japan Credit Bureau (JCB), as well as China UnionPay (CUP) have made relevant efforts.

On the other hand, Iran shows more inclination towards developing ties with some world and Asian countries who were helpful even during sanction years.

Previously, Japan and India made requests to enter the banking market of Iran by opening banks here as well as that Woori Bank of South Korea has opened a bureau in Tehran while Kazakhstan’s National Bank has sealed a Memorandum of Understanding (MoU) with Iran.

Some Iranian economic experts believe that China and Japan mark appropriate venues for joining the international banking system though their markets are not as widespread as those of MasterCard and Visa card.

Iranian banks should be able to connect to the world’s inclusive systems. Indeed, measures have been adopted in recent days for Iran to be accepted by international communities in arena of the fight against money laundering which will prepare the ground for communications.

Production and exports sectors of the country pose high demands for huge financial resources, which gives vital necessity to connecting Iranian banking networks to international ones.

The most recent report released by CPI Institute reveals how Iran’s reconnection to SWIFT, arrival of capital on the part of international players as well as development of non-cash payments are contributing the healthy development of the market in Iran.

A banking analyst has estimated that reestablishment of Iran’s communication with international banks and providers of e-cards in line with the Iranian government’s efforts to expand electronic payments will lead to further development electronic card market in Iran.

CBI officials had said earlier that “following JCPOA implementation, correspondences have been made with four international payment networks including Visa, MasterCard, JBC and CUP though restrictions exist for arrivals of the first two in Iran given their American identities. However, Central Bank of Iran officials have promised that the Asian type of international credit cards are expected to arrive in Iran in the first half of the current Iranian year.

Source: Mehrnews